Audit 41212

FY End
2022-06-30
Total Expended
$2.95M
Findings
6
Programs
1
Year: 2022 Accepted: 2023-03-30

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
46510 2022-002 Significant Deficiency Yes I
46511 2022-003 Significant Deficiency Yes M
46512 2022-004 Significant Deficiency Yes I
622952 2022-002 Significant Deficiency Yes I
622953 2022-003 Significant Deficiency Yes M
622954 2022-004 Significant Deficiency Yes I

Programs

ALN Program Spent Major Findings
84.423 Supporting Effective Educator Development Program $2.95M Yes 3

Contacts

Name Title Type
L2CHH7137GAS Oscar Santos Auditee
6714210134 Shannon Crowley Auditor
No contacts on file

Notes to SEFA

Accounting Policies: NOTE 1 PURPOSE OF SCHEDULESchedule of Expenditures of Federal AwardsThe accompanying schedule of expenditures of federal awards (the Schedule) includes thefederal awards activity of the Center under programs of the federal government for the yearended June 30, 2022. The information in this schedule is presented on the accrual basis inaccordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200,Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance). Because the Schedule presents only a selected portion ofoperations of the Center, it is not intended and does not present the financial position,activities, or cash flows of the Center.NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting.Such expenditures are recognized following the cost principles contained in the UniformGuidance, wherein certain types of expenditures are not allowable or are limited as toreimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

2022-002 Federal Agency: U.S. Department of Education Federal Program Title: Supporting Effective Education Development Assistance Listing Number: 84.423a Award Period: October 1, 2020 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Center should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, we noted the Center did not have adequate internal controls designed to ensure vendors were not suspended or debarred. Questioned costs: None Context: During our testing, it was noted that the Center was not reviewing vendors prior to entering into a contract, that a vendor was not on the suspended or debarred list maintained by the GeneralServices Administration. Cause: The Center was unaware of the grant requirements related to procurement, suspension, and debarment. Effect: The auditor noted no instances of noncompliance with the provisions of procurement, suspension, and debarment; however, the lack of internal controls over these compliance requirementsprovides an opportunity for noncompliance. Repeat Finding: Repeat finding, however it is noted that due to timing of release of audit reports, all occurrences of lack of internal controls over compliance requirements occurred prior to the Center being informed of this issue as part of the prior year audit. Recommendation: We recommend the Center design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-003 Federal Agency: U.S. Department of Education Federal Program Title: Supporting Effective Education Development Assistance Listing Number: 84.423a Award Period: October 1, 2020 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of subrecipient monitoring. The Center should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, we noted the Center did not have adequate internal controls designed to ensure all appropriate information was obtained/retained from subrecipients prior to entering into a contract, including obtaining/retaining DUNS numbers. Questioned costs: None Context: During our testing, it was noted that the Center was not obtaining DUNS numbers prior to entering into a contract with a subrecipient. Cause: The Center was unaware of the requirement to obtain DUNS numbers. Effect: The center is not compliant with program requirements. Repeat Finding: Repeat finding, however it is noted that due to timing of release of audit reports, all occurrences of lack of internal controls over compliance requirements occurred prior to the Center being informed of this issue as part of the prior year audit. Recommendation: We recommend the Center design controls to put in place an adequate review process to ensure all required documentation is obtained/retained from subrecipients prior to entering into a contract. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-004 Federal Agency: U.S. Department of Education Federal Program Title: Supporting Effective Education Development Assistance Listing Number: 84.423a Award Period: October 1, 2020 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Center should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, we noted the Center did not have adequate internal controls designed to ensure procurement transactions were performed in compliance with Uniform Guidance. Questioned costs: $215,420 Context: During our testing, it was noted that the Center did not have policies in place related to procurement, suspension, and debarment. Procurement transactions were therefore not performed in accordance with compliance requirements Cause: The Center was unaware of the procurement requirements. Effect: The center is not compliant with program requirements. Repeat Finding: Repeat finding, however it is noted that due to timing of release of audit reports, all occurrences of lack of internal controls over compliance requirements occurred prior to the Center being informed of this issue as part of the prior year audit. Recommendation: We recommend the Center implement a procurement, suspension, debarment policy. Policy should also include conflict of interest policies in line with Uniform Grant Guidance. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Federal Agency: U.S. Department of Education Federal Program Title: Supporting Effective Education Development Assistance Listing Number: 84.423a Award Period: October 1, 2020 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Center should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, we noted the Center did not have adequate internal controls designed to ensure vendors were not suspended or debarred. Questioned costs: None Context: During our testing, it was noted that the Center was not reviewing vendors prior to entering into a contract, that a vendor was not on the suspended or debarred list maintained by the GeneralServices Administration. Cause: The Center was unaware of the grant requirements related to procurement, suspension, and debarment. Effect: The auditor noted no instances of noncompliance with the provisions of procurement, suspension, and debarment; however, the lack of internal controls over these compliance requirementsprovides an opportunity for noncompliance. Repeat Finding: Repeat finding, however it is noted that due to timing of release of audit reports, all occurrences of lack of internal controls over compliance requirements occurred prior to the Center being informed of this issue as part of the prior year audit. Recommendation: We recommend the Center design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-003 Federal Agency: U.S. Department of Education Federal Program Title: Supporting Effective Education Development Assistance Listing Number: 84.423a Award Period: October 1, 2020 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of subrecipient monitoring. The Center should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, we noted the Center did not have adequate internal controls designed to ensure all appropriate information was obtained/retained from subrecipients prior to entering into a contract, including obtaining/retaining DUNS numbers. Questioned costs: None Context: During our testing, it was noted that the Center was not obtaining DUNS numbers prior to entering into a contract with a subrecipient. Cause: The Center was unaware of the requirement to obtain DUNS numbers. Effect: The center is not compliant with program requirements. Repeat Finding: Repeat finding, however it is noted that due to timing of release of audit reports, all occurrences of lack of internal controls over compliance requirements occurred prior to the Center being informed of this issue as part of the prior year audit. Recommendation: We recommend the Center design controls to put in place an adequate review process to ensure all required documentation is obtained/retained from subrecipients prior to entering into a contract. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-004 Federal Agency: U.S. Department of Education Federal Program Title: Supporting Effective Education Development Assistance Listing Number: 84.423a Award Period: October 1, 2020 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Center should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, we noted the Center did not have adequate internal controls designed to ensure procurement transactions were performed in compliance with Uniform Guidance. Questioned costs: $215,420 Context: During our testing, it was noted that the Center did not have policies in place related to procurement, suspension, and debarment. Procurement transactions were therefore not performed in accordance with compliance requirements Cause: The Center was unaware of the procurement requirements. Effect: The center is not compliant with program requirements. Repeat Finding: Repeat finding, however it is noted that due to timing of release of audit reports, all occurrences of lack of internal controls over compliance requirements occurred prior to the Center being informed of this issue as part of the prior year audit. Recommendation: We recommend the Center implement a procurement, suspension, debarment policy. Policy should also include conflict of interest policies in line with Uniform Grant Guidance. Views of Responsible Officials: There is no disagreement with the audit finding.